Captain Credit

I Have No Credit!

Captain Credit shares free advice for anyone looking to establish credit:

• Open a Bank Account:

  This is often the first step in establishing financial independence and a great way to start managing your own money.

• Apply for a Secured Credit Card:

  A secured credit card is backed by a cash deposit you make upfront. The deposit amount is usually the same as your credit limit. It's easier to get approved for this type of card when you're just starting to build credit.

• Become an Authorized User:

  Personally, Captain Credit doesn't recommend relying on someone else, but it can work. If a parent or family member adds you as an authorized user on their credit card account, you'll benefit from their credit history—but also risk being negatively affected if they miss payments.

• Pay Your Bills On Time:

  Timely payments, whether it's a utility or a credit card bill, are one of the biggest factors that contribute to your credit score.

• Keep Your Credit Utilization Low:

  Use only a small portion of your available credit. A good rule of thumb is to keep your credit utilization under 30%.

• Don't Apply for Too Much Credit:

  Each time you apply for credit, an inquiry is made on your credit report. Too many inquiries in a short time can lower your credit score.

• Check Your Credit Reports Regularly:

  Regularly reviewing your credit reports helps you understand what affects your credit and how to improve it. It also allows you to spot and dispute any errors.

Remember

Building credit is a marathon, not a sprint. You're not racing anyone but yourself. Good credit takes time and consistency. Make smart financial decisions and keep your future goals in mind.